He was appointed Chairman and Representative of the Manila Economic and Cultural Office, the de facto embassy of the Philippines in Taiwan, by President Rodrigo Duterte on June 30, 2016.

As Postmaster General, Banayo instituted reforms aimed at reducing employee pilferage, in particular installing one-way mirrors at Manila International Airport Airmail Distribution Center.

[4] Banayo was also responsible for the push to establish the Philippine Postal Corporation, a government-owned company, to replace the old Bureau of Posts.

[4] During the Joseph Estrada administration, Banayo served as a presidential political advisor, as well as general manager of the Philippine Tourism Authority.

[10] In 2014, the National Bureau of Investigation filed graft charges before the Ombudsman against Banayo and five others in connection with the alleged irregular rice importation program of the agency during his Tenure [11] In September 2012, Banayo resigned from his NFA post to prepare to contest the May 2013 House of Representatives mid-term elections in Agusan del Norte.

[12] In December 2012, 4 SM Agri Venture Multi-Purpose Cooperative head Simeon Sioson claimed in testimony before the Senate that Banayo and Nixon Kua had been involved in rice smuggling.